Legal Question in Civil Litigation in Virginia
Diversity Jurisdiction
If one sues an out of state insurance company in state ct. for declaratory relief only; can the insurance company remove the case to federal ct. under divesity jurisdiction theory when there is no amount in contoversy?
2 Answers from Attorneys
Re: Diversity Jurisdiction
Not unless there is some federal question in issue. Assuming that a petition for removal has been filed look at the jurisdictional basis that is being claimed. For example is the insurance company saying that the ultimate amount in contraversy exceed the jurisdictional threshold.
Re: Diversity Jurisdiction
Not on those facts alone, even if there's an arbitration clause in the contract. If there's a basis for federal question jurisdiction, then the answer's different. See:
M.C. Const. Corp. v. Gray Co., 17 F. Supp. 2d 541 (W.D. Va. 1998)
Cook v.Georgetown Steel Corp., 770 F.2d 1272